California’s Department of Industrial Relations (DIR) announced the Jan. 1, 2012 launch of yet another task force focused on prosecuting California employment law violations.

The newly created Labor Enforcement Task Force (LETF) is comprised of the DIR, the Employment Development Department, Contractor's State Licensing Board, Board of Equalization, and the Bureau of Automotive Repair. The LETF will also collaborate with the Department of Insurance, the Attorney General and Local District Attorneys.

The LETF joins the existing Employment Enforcement Task Force in attempting to curb those employers participating in California’s “underground economy.” The LETF’s stated goals are to:

1. Ensure workers receive proper payment of wages and are provided a safe work environment
2. Ensure California receives all employment taxes, fees, and penalties due from employers
3. Eliminate unfair business competition by leveling the playing field
4. Make efficient use of the state and federal resources in carrying out the mission of the LETF

The creation of this new task force should serve as a reminder that California remains a complex environment for employers. The inclusion of criminal prosecutors in the new task force may signal an increased effort to invoke California's many criminal penalties for employment law violations. Companies doing business in California should be mindful of both the pre-existing laws and the new laws that went into effect on Jan. 1, 2012, such as the Wage Theft Protection Act of 2011. As discussed in our prior alert highlighting many of these new laws, California has increased the penalties for many employment law violations.